DEKALB - Corning will expand production at its Canton plant in a $21 million project that will create 40 permanent jobs with the help of a low-cost power allocation, Gov. Andrew M. Cuomo is expected to announce today.
The facility on McAdoo Road, DeKalb, is referred to as the Canton plant and produces specialized glass products for the telecommunications industry, the U.S. Department of Defense and the aerospace industry.
The expansion will accommodate additional storage and an increase in production of high-fused silica glass used by the semiconductor industry.
The facility supplies microchips for computers, cell phones and other electronics.
The company is planning to expand its Canton facility by 23,500 square-feet to increase production. A 7,200-square-foot warehouse is also part of the project.
Corning is expected to host a formal ceremony next month to mark the start of construction on the expansion project.
The New York Power Authority is expected to allocate 2.1 megawatts to the plant at its board of trustees meeting today.
“The St. Lawrence-FDR power plant is crucial for economic development in Northern New York,” said Gil C. Quiniones, President and Chief Executive Officer of NYPA, said. “It’s a top priority for NYPA to utilize its low-cost hydropower in ways that will yield the greatest results and Corning’s commitment toward the creation of 40 high-paying jobs in the region is exactly that, a great result.”
The low-cost hydropower will be provided to Corning under a seven-year contract and is drawn from a block of St. Lawrence electricity known as Preservation Power.
“Corning’s decision to expand its operations in Canton is certainly great news. It is a perfect marriage when St. Lawrence hydropower creates jobs in the north country,” said Eugene L. Nicandri, a NYPA Trustee.
Corning’s Canton facility receives a 2.2 megawatt allocation of ReCharge NY power, which was approved by the NYPA trustees in April 2012 in exchange for the firm’s commitment to retain its nearly 200 positions.
In addition to the new permanent jobs, which NYPA says are already being added, the capital investments by the company are expected to support dozens of temporary construction jobs.
Empire State Development is providing the company $750,000 in Excelsior Jobs Program tax credits to assist with the job creation project.
“This allocation by NYPA will reduce Corning’s energy cost, which is a major expenditure at the Canton plant,” said Patrick Jackson, director of Corning’s Global Energy Management, said.
Under State law, allocations of power to Northern New York businesses from the St. Lawrence hydroelectric facility are for firms in Franklin, Jefferson and St. Lawrence Counties.
The electricity is provided at a price that is currently 40 percent less than the wholesale market price in the region. Preservation Power allocations currently support hundreds of jobs in St. Lawrence County.